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Pay per click costs drop

Posted by Michael Bloch in web marketing (Thursday July 23, 2009 )

While Google investors may have recently been spooked by a drop in click prices; it’s good news for merchants… sort of.

According to a report in Business Week, the average amount paid by advertisers per Google Adwords click dropped 13% overall in the period ending June 30. If it’s happening at Google, it’s likely happening on other engines and sites offering PPC advertising.

Some smaller merchants are at a distinct disadvantage with pay per click as they don’t have the financial resources of the big boys to plough into PPC. When the big guys (and often, newbies) start duking it out among themselves for prime placements for keywords, it can get frightening as the rates go sky high; and that carries on all the way down the line for bids on lesser placements.

So if you’ve been frightened off by PPC before and haven’t checked keyword prices for some time; it might be worth your while to take another peek. Something I have noticed though that traffic on keywords I keep a bit of an eye on is falling off a little – a sign of the times I guess.

A quick way to figure out if prices are within your range and whether getting back into PPC is worth your effort is with Google’s Traffic Estimator. You can get a quick traffic estimates for keywords based on a pricing point you choose without having to sign up for or sign into an Adwords account.

If you’ve never delved into the world of pay per click, I’ve published a primer here which also contains listings of companies that offer free click credits.


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